MTS Allstream and Hydro One Contract Renewal
MTS Allstream has secured a three-year extension to its data services contract with Hydro One, Ontario's electricity delivery company.Under the terms of the contract, MTS Allstream will continue to supply Hydro One with several data services, focussed on speed, low delay and reliability of data transfer, in support of bandwidth-intensive applications requiring real-time transport of voice, data and video.
It's good to see that Allstream continues to resign contracts with existing customers. One intersting point of note - the Hydro One contract is with the enterprise division of Allstream, and not the wholesale division. An interesting angle to take, considering the expansion of the wholesale markets in Canada. One of Allstream's strenghts is wholesale. It would do a world of good if the rest of the beast realized it, and allowed the wholesale group to grow and expand. The Allstream Wholesale division shouldn't be treated like the ugly red-haired stepchild, stuck locked in the attic.